A possible problem with Sarbanes-Oxley is that in worsens the free-rider problem for financial intermediaries.

Question

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The Sarbanes-Oxley Act primarily addresses issues related to corporate governance, financial disclosures, and the prevention of fraud within public companies. It does not directly relate to or exacerbate the free-rider problem among financial intermediaries. The free-rider problem typically refers to situations where some individuals or entities benefit from resources or services without paying for them, which is not a primary concern of the Sarbanes-Oxley Act.

A Possible Problem with Sarbanes-Oxley Is That in Worsens the Free-Rider